§ 3-2-412 - Dual distributorship prohibited. - Arkansas Statutes

3-2-412. Dual distributorship prohibited.

(a) (1) The creation of a dual distributorship is prohibited.

(2) An unlawful dual distributorship is created whenever any manufacturer designates as its distributor more than one (1) Arkansas liquor wholesaler in the state or wholesale beer permit holder to distribute the same brand of alcoholic beverage in the same geographical territory, whether a city, a county, counties, or the state.

(b) In addition to any remedies to any aggrieved party authorized by law, the Director of the Alcoholic Beverage Control Division may withdraw approval of any and all brands registered by any manufacturer found to be in violation of this subchapter, such findings to be made after a hearing pursuant to hearing procedures established for the Alcoholic Beverage Control Division by state law and administrative regulations.

(c) (1) For the purposes of this subchapter, a "brand" means the same product or substantially the same product as evidenced by the product label that must be filed with the division.

(2) Identical or substantially identical labels will be considered and treated as the same brand.